Bright Future for Term Life Insurance Industry

The term life insurance industry is optimistic about its future, as a recent study shows that only 50% of Americans currently have life insurance, a decrease from 63% a decade ago. More encouraging is the finding that 37% of consumers intend to purchase life insurance within the next year. However, misconceptions about the cost and necessity of term life insurance act as significant barriers for potential buyers. Farron Blanc, Vice President at Legal & General America (LGA), outlines how their Term-2-Term exchange program helps adapt policies to changing client needs without requiring re-underwriting or a medical exam.

Common concerns among potential buyers include age, health conditions, and lifestyle choices that may affect insurability. Blanc emphasizes the goal of making coverage affordable for all Americans, especially those with health issues. The industry has been slow to digitize, but LGA’s recent focus on digital solutions aims to streamline processes and better serve clients, particularly those considered high-risk due to impairments.

The future of the life insurance market looks bright, as innovations and improved customer awareness align with rising consumer interest in coverage. LGA is enhancing its digital offerings to provide faster and more efficient service, and to promote financial security and adequate protection for individuals and families in changing circumstances.